3 Secrets Of A Best Company To Work For

We all see the awards. We all hear about the companies who provide all the cool cultural perks. But, what does being a "Best Company To Work For" really mean? And, do you care?

Forbes creates the America's Best Employers list based on employee's recommending their company to potential employees. Glassdoor creates its Employees’ Choice Best Places to Work list, with the rankings determined by employee ratings of team environment, trust, and happiness at work. Fortune’s 100 Best Companies to Work For list is also largely determined by employee feedback: two-thirds of each company’s score derives from employee answers on the Trust Index Employee Survey, which asks about management, job satisfaction, and camaraderie at work. As Glassdoor’s website says, “Winners [of Best Places to Work] are determined by the people who know these companies best—their employees.”

Here at O.C. Tanner, we know firsthand that being named a "Best Company To Work For" means your employees love your organization—they actually want you to win because they feel the company deserves it. But making the list takes more than having satisfied and engaged employees. You also need an awesome company culture, which is why Fortune includes a Culture Audit in the process of selecting each year’s winners. The Culture Audit reveals which companies nurture winning cultures that inspire employees to deliver innovative, creative work—and how they do it.

So we’re here to let you in on some of our secrets of what it truly means to be a best place to work—because we’ve seen both sides. We’ve worked with those who are, we work for one that is, and we’ve worked with companies who want to become a best place to work—whether that means making a list or simply building a culture that people love.

Being the "best" means having a team of employees whose collaboration creates something special. It means building a winning culture that supports ideation and improvement, and empowers employees’ continued success. And, more than anything else, it means you’re in on the three secrets that inspire your employees to become their best. Of course, we want every company build a best place to work for their employees. And, this is what we’ve found:

1. They focus on purpose.

The companies that are named to the best companies lists know who they are and what they stand for. They live by a mission that is clearly communicated throughout the organization, to senior leaders and new recruits alike. That mission is powerful, because it inspires employees to work towards achieving it every day. More importantly, every employee knows their role in contributing to the team’s and company’s success. They are encouraged to bring their all, share all their ideas, and are given time and resources to innovate so they can improve processes and products. They feel empowered to deliver a meaningful difference. And employees like that are not just happy at work—they also create a strong collaborative team culture. It’s one of the reasons that purpose-driven organizations do so well, both in best companies rankings and in bottom-line business results.

2. They don’t focus only on the perks.

It probably doesn’t surprise you when you see a company like Google rank highly on best companies lists, because when you imagine a really cool work environment—think free lunches, a trendy office space, and awesome ways to bond with your team—you know you’d love to work there because perks are cool. But the America's Best Employers list, Fortune 100 Best Companies to Work For, as well as the Employees Choice Best places to work list, are a group of really diverse companies, of different sizes, locations, workforces, and industries. And not all of them are saturated with cool workplace perks. So how do they all make the list?

It’s simple. Workplace perks are a great bonus, and they play a role in attracting new employees. But like we’ve said before, they’re not what make or break the decision for talent to stay and deliver great work. Instead, it’s the thought behind the workplace perks that counts. What makes a best company to work for is a culture of listening to what employees want to do, and a commitment to help them do it. In fact, research from the OC. Tanner Institute shows the best things managers can provide their teams are:

• Inspiration or vision of what they are trying to accomplish (12%)

• Autonomy as an expression of trust (12%)

• Recognize work that has made a difference (37%)

All of the answers provided in the survey are shown here.

Survey data and image provided by the O.C. Tanner Institute.

At the end of the day, people want to do great things. They want to do great work—work that makes a difference other people love. Give that to your people, and you’re golden.

3. Appreciation rules.

A "best company" knows to value its people. It also understands the importance of motivating, engaging, and inspiring them. And that’s why it emphasizes the importance of meaningful recognition, and provides the knowledge and tools for leaders and peers to appreciate one another’s everyday accomplishments and big wins. Employees who are appreciated have better relationships with leaders and colleagues. They even have longer tenure at their organizations. And, appreciation is employees’ self-reported no. 1 motivator to produce great work. Organizations that make appreciation a priority don’t just benefit from all its positive effects—they also become great places to work.

It’s actually quite simple. The best companies are the companies who truly focus on inspiring the best from their people—employees who have dreams, aspirations, and personal goals of their own, and who are given the tools, environment and freedom to accomplish those goals. Understanding your people is the first step to going from good to great. And, as simple as that may sound, it’s the key to making a best place to work.

We are researchers, consultants and authors inside the O.C. Tanner Institute, and we write about people who make a difference—what they think about, what they do, and how they achieve extraordinary results. David Sturt is executive vice president at the O.C. Tanner Institute...